Marriott Bonvoy is worsening the worth proposition of some airline mileage transfers, which units a foul precedent.
Marriott ends 5,000-mile switch bonus for some companions
One of many good issues about Marriott Bonvoy is that it’s the one lodge loyalty program the place you possibly can effectively convert lodge factors into airline miles with out dropping a lot worth.
With Marriott Bonvoy’s airline mileage switch program, you possibly can switch Bonvoy factors to over three dozen airline miles at a 3:1 ratio. There’s an incentive to switch Bonvoy factors in increments of 60,000.
With the three:1 ratio, you’d ordinarily earn 20,000 airline miles when changing 60,000 Marriott Bonvoy factors. Nevertheless, Marriott affords a bonus of 5,000 miles when transferring 60,000 factors, that means that 60,000 factors truly converts into 25,000 airline miles, supplying you with an actual switch ratio of two.4:1.
At the least that’s the way it has labored traditionally. As reported by Katie Genter, this can be altering. As of October 31, 2022, Marriott Bonvoy will cease providing the bonus of 5,000 airline miles for 3 companions:
- American AAdvantage
- Avianca LifeMiles
- Delta SkyMiles
Whenever you switch Bonvoy factors to these companions, the ratio can be 3:1, whatever the increments during which you accomplish that. That clearly takes away fairly a little bit of worth. On prime of that, this units a foul precedent. That is the primary actual devaluation we’ve seen to Marriott Bonvoy airline mileage transfers in a very long time, and this has traditionally given the worth of Bonvoy factors fairly a little bit of stability, particularly in mild of different devaluations.
Why would Marriott Bonvoy devalue these transfers?
I’m all the time curious concerning the motivation for loyalty program modifications, and that is no exception. Why would Marriott Bonvoy all of a sudden devalue the environment friendly switch ratios for simply three of the over three dozen companions? The best way I view it, there are just a few potential explanations:
- These applications raised the price they needed to cost Marriott Bonvoy for mileage transfers, and because of this that’s being handed on to shoppers
- These are the airline companions that Marriott Bonvoy members switch probably the most factors to, and Marriott needed to cut back its prices related to these transfers
- These switch companions strong-armed Marriott into discouraging members to make these transfers, as a result of they felt this was cannibalizing their different income streams someway
If I needed to guess, I’d assume the reply might be a mixture of the primary and second level. I wouldn’t be stunned if these are the mileage switch companions that price Marriott probably the most, when it comes to a mixture of price per mile plus frequency of transfers. I think Marriott is making an attempt to discourage these transfers, for no matter motive.
Backside line
Marriott Bonvoy is devaluing factors transfers to 3 airline companions. Particularly, the bonus of 5,000 airline miles for transferring 60,000 Marriott Bonvoy factors is being eradicated for American AAdvantage, Avianca LifeMiles, and Delta SkyMiles.
This units a regarding precedent, for the reason that capacity to transform Marriott factors into airline miles helps create a ground worth for this system.
What’s your tackle Marriott Bonvoy devaluing choose mileage transfers?
